Jump to content
News
Reviews
Discussons
Activity
Create New...
Close
  • Drew Dowdell
    Drew Dowdell

    By Drew Dowdell •

    Jaguar Land Rover Gets Lifeline in the form of a UK Tariff Exemption

      Trump and the U.K. reach a deal on auto import tariffs.

    The United States and United Kingdom have reached a deal on vehicle import tariffs into the U.S. that could serve as a model for future deals between the U.S. and other countries. 

    As part of a larger trade deal, the UK will get preferential treatment on auto tariffs for the first 100,000 vehicles imported.  Import tariffs, which started on April 3rd for UK vehicles, are currently at 25-percent and will be reduced to 10-percent on that first 100,000 units annually.  The U.K. conversely agreed to lower its tariffs from 5.1-percent to 1.8-percent. The U.S. also dropped tariffs on U.K. steel.

    While 10-percent on vehicles is still four times the 2.5-percent charged prior to April 3rd, it is likely to still be a lower tax than those levied on many vehicles imported from Mexico or Canada that contain only 50-percent U.S. made parts.

    The 25-percent Tariffs on auto parts appear to remain in place.

    While Jaguar and Land Rover are the obvious benefactors of this trade agreement, Nissan has manufacturing facilities in the U.K. that could be utilized for production in North America.  Previously, the Nissan plant in Sunderland, England produced the Infiniti QX30 for North America.  The plant currently produces the Nissan Juke and Nissan Qashqai (Rogue Sport), neither of which are still sold in the U.S.  Honda closed their UK manufacturing facility in 2021.

    Go to articles

    User Feedback

    Recommended Comments

    G. David Felt

    I can see this deal helping Jaguar Land Rover as I would be surprised if they sold 100,000 autos in the US.

    @drew, do you know if they do or not?

    As for any mass produced auto that sells well, I cannot see this deal being that great.

    Link to comment
    Share on other sites
    smk4565

    First 100,000 total cars or first 100,000 per manufacturer?  Still 10% is higher than the old 2.5% so prices will go up, from before.  And if this is foreshadowing, are they going to put a 10% tariff on the first 100k cars from Mexico and Canada?  And it used to be 0, so no matter what, the 2026 car prices are going way up.

    Link to comment
    Share on other sites
    Drew Dowdell
    2 hours ago, smk4565 said:

    First 100,000 total cars or first 100,000 per manufacturer?  Still 10% is higher than the old 2.5% so prices will go up, from before.  And if this is foreshadowing, are they going to put a 10% tariff on the first 100k cars from Mexico and Canada?  And it used to be 0, so no matter what, the 2026 car prices are going way up.

    First 100k from the UK. The fact that there’s only one major manufacturer in the UK that exports in volume kinda makes it moot. 

    Link to comment
    Share on other sites
    smk4565
    2 hours ago, Drew Dowdell said:

    First 100k from the UK. The fact that there’s only one major manufacturer in the UK that exports in volume kinda makes it moot. 

    Mini and Rolls is probably 30k units a year.  Land Rover is the most since Jaguar is near zero at this point.  It could create a weird race for BMW to push out a year's worth of Mini's in Q1 to try to beat Land Rover to get the lower tariff.

    Link to comment
    Share on other sites
    G. David Felt
    3 hours ago, smk4565 said:

    Mini and Rolls is probably 30k units a year.  Land Rover is the most since Jaguar is near zero at this point.  It could create a weird race for BMW to push out a year's worth of Mini's in Q1 to try to beat Land Rover to get the lower tariff.

    No matter what, this is a terrible deal and I honestly see no reason for it as while #47 can say it is a great deal as he got 1.8% on U.S. products, the world is turning their back on his Bully approach to others and even if some U.S. manufacturers are able to sell into the U.K., eventually this will become U.K. saying they are being abused by the U.S. as the Tariff is higher to get into the U.S.

    All a matter of semantics, but no matter what, the U.S. standing has been tarnished, and it will take decades to rebuild the relationship as even this deal will be questioned due to the inconsistent way this administration flip flops on things based on the whim of a child man.

    Link to comment
    Share on other sites
    Drew Dowdell
    9 hours ago, smk4565 said:

    Mini and Rolls is probably 30k units a year.  Land Rover is the most since Jaguar is near zero at this point.  It could create a weird race for BMW to push out a year's worth of Mini's in Q1 to try to beat Land Rover to get the lower tariff.

    Most US Minis are built in Austria.

    • Educational 1
    Link to comment
    Share on other sites


    Join the conversation

    You can post now and register later. If you have an account, sign in now to post with your account.
    Note: Your post will require moderator approval before it will be visible.

    Guest
    Add a comment...

    ×   Pasted as rich text.   Paste as plain text instead

      Only 75 emoji are allowed.

    ×   Your link has been automatically embedded.   Display as a link instead

    ×   Your previous content has been restored.   Clear editor

    ×   You cannot paste images directly. Upload or insert images from URL.

    ×



×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.

Hey there, we noticed you're using an ad-blocker. We're a small site that is supported by ads or subscriptions. We rely on these to pay for server costs and vehicle reviews.  Please consider whitelisting us in your ad-blocker, or if you really like what you see, you can pick up one of our subscriptions for just $1.75 a month or $15 a year. It may not seem like a lot, but it goes a long way to help support real, honest content, that isn't generated by an AI bot.

See you out there.

Drew
Editor-in-Chief

I've whitelisted
Continue without support

Write what you are looking for and press enter or click the search icon to begin your search